Transcript Patrimonio Hoy” Programa de CEMEX para el segmento

“Patrimonio Hoy”
CEMEX’s Progressive Housing
Alternative for Low Income Segment
17/03/04
Mission and Objective
MISSION
•
Patrimonio Hoy is one of the programs which support CEMEX’s social
responsibility strategy
•
With Patrimonio Hoy CEMEX makes a compromise with its Corporate
Citizenship by offering integral progressive housing solutions for low
income families
OBJECTIVE
•
Business: to position the Company and its brands in the low income
communities, through a close and direct relationship, providing them
with products and services according to their needs and development
capabilities.
•
Social Responsibility: to contribute in improving the opportunities of
better life conditions for low income communities, increasing the
quality of housing conditions.
Problems to Solve
Tangible
Intangible
• Unable to save
• Unable to perceive a wider life
• No accesss to formal credit
• Material and building
perspective
• Confronting a future with a
knowledge
limited space for their
• Access to certified quality
participation
materials
• Organization of the process
Result is a typical project:

A new 110 sq. Ft room

Building time of 4 yrs

Investing $1,000 for materials

Waste of 30%

Tied to a chronic, hopeless
resignation which impedes
them building a better
future
What does the Program offers
Microcredit for building mats
Technical Advise
• Based on solidarity of a
• Customized house growth
group of 3
• No collaterals
project for each family, phased
one room at a time
• $4 credit for each $1 saved
Benefits & Services
• Frozen prices for 70 wk
periods
• Warehousing services to store
mats according to their needs
• A steady, progressive, well
implemented project with 2/3
savings on time and 1/3 less
cost
• A sense of trustfull capacity to
face other challenges
Value for CEMEX
Basic sustentability
• Business model design
asks for enough income
generation to operate
and grow
• 2 main income sources:
• Membership fee
• Discounts from
participating
distributors
Intrinsic values
• Demand expansion
• Accelerated cement use
– 1 room in 16 vs 48
months
• Additional rooms vs
originally able to built
• Branding
• Increased brand loyalty
• Other segments brand
preference based on
demonstrated social
responsible programs
Critical success aspects
• Trust bridge building
• Fulfillment off all the Program’s promises
• Local presence and permanence, developing a sens of being
part of the community
• Very high consumer service standards
Status
• More than 75,000 families have participated
• 48 offices in 23 cities
• Generating its own growth resources
8
2
22 2
• On time payments higher than 99.2%
• Families have built the equivalent of 33,000 additional 110 sq.ft
rooms